Help to upgrade my surround processor


Here's the short version. I have a TV with composite and S-video inputs only. I also have an old (at least 15 years) Onkyo ED-301 Dolby Digital SP. I only watch a movie a week. My sources are DVD and Laser. I can't change my TV as yet, so the S-Video is OK. But I imagine the chip in my unit (motorola 24 bit dsp 56009) is basically a dinosaur. How can I get some better sound and upgrade? I imagine I just can't upgrade my chip. Sound is my primary consideration. My problem is that I hate to buy an Anthem AVM 20 which is a 8-9 year old unit and the newer Anthems are too pricey. Does the v2 2.21 upgrade sound good enough compared to today's chips? Otherwise Rotel, Sherwood, Outlaw or maybe a Cary 6? Thanks in advance for any help.
drjjpdc
Check out a used Classe SSP-300 (if you only need single-ended) or SSP-600 (if you have balanced inputs and/or outputs). The sound on this processor is amazing. Have you considered upgrading your TV first to get 720p/1080i/1080p input capabilities via component, DVI-D and/or HDMI? It seems like staying with a monitor that only allows S-Video and Composite and upgrading sound-only may be a path worth considering alternatives for...my 2 cents. The SSP-300 and SSP-600 have all the video transcoding you would want for your current setup (no HDMI). The new SSP-800 (not available used as yet) has even more for the future. I've owned the SSP-600 and loving the units video passthrough and both HT and balanced bypass audio quality very much.
You should considered Proceed AVP-S for now. Great with 2-channel music too, will beat out all other companies you mentioned.You can always upgrade to AVP2 later on if you like the sounds, and I'm pretty sure you will.
The AVM-20 is not going to be 9 years old most likely. It will also crush most other pre-amps sonically, especially an old Onkyo. Check out a B&K or Sunfire also. The budget solution is Outlaw.